Azerbaijan needs new tools on stock market

Business Materials 5 December 2017 12:31 (UTC +04:00)

Baku, Azerbaijan, Dec. 5

By Azad Hasanli - Trend:

Use of classical stock market tools has not reached the desired level to form new ones on their basis, said Vugar Namazov, chairman of the Baku Stock Exchange (BSEX).

Bonds and shares are considered as classical stock market tools, while relatively new tools include futures, options, forward contracts.

Namazov told Trend Azerbaijan yet needs a well-shaped entrepreneur thinking that will enable to admit bonds as an alternative tool to attract financial resources.

"Our key task today is to develop classic tools. Later on it is possible to speak about new production tools, or financial engineering tools. It is necessary to upgrade stock market, the institualization of which will allow for trading with futures. Another example is a shares market, that would enable us to trade with share of investment funds in future," Namazov underlined.

The total turnover of exchange deals with all tools at BSEX exceeded 9.57 billion in January to October 2017, thus exceeding the last year figure by 2.2 times.

The amount of state securities made up 3.8 billion manat, or up by 8.4 time on year on year, the turnover of corporate securities market reached 1.37 billion manat, or up by 4 times, the volume of derivative instruments made up 4.4 billion manat, or up by 22.2 percent.

Ttwitter: @AzadHasanli